Making Headlines

Royce Special Equity Fund (RYSEX)—along with portfolio manager Charlie Dreifus—was named an Analyst Pick in the "Small Value" category in Morningstar's Equity Fund Analyst Picks. Morningstar's goal was to narrow the universe of equity mutual funds down to a manageable group of 175. The criteria Morningstar used included: solid long-term performance through the end of 2007; as well as "other attributes that will be key to their future success: sensible strategies, successful management, good stewardship and reasonable costs." Morningstar admits that this process is largely "qualitative and forward-looking in nature," and not intended as a "must-own list", but rather a way to uncover potentially promising "off-the-beaten-path funds."